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BM2221M FINANCE P& P MANAGEMENT

[ F ] REDER
ICK
WINSLOW
TAYLOR

THE FATHER
OF SCIENTIFIC
MANAGEMENT
 [F]REDERICK WINSLOW TAYLOR

“Hardly a competent workman can be

found who does not devote a
considerable amount of time to
studying just how slowly he can work
and still convince his employer that
he is going at a good pace. “

“In the past the man has been first; in

the future the system must be first...
The first object of any good system
must be that of developing first class
men. “

THE FATHER OF SCIENTIFIC MANAGEMENT

 [L]IFE BIOGRAPHY..
HIS LIFE
-Born March 20, 1865, into an upper class
liberal Philadelphia family
-Strict family of Quakers
-Taylor was a obsessive compulsive
adolescent - always counting and measuring
things to figure a better way of doing
something.
-At age twenty-five, Taylor earned an
engineering degree at the Stevens Institute
of Technology in New Jersey while holding a
full time job (WOW!!!)
-Excellent in academic and sport
-Works as machinist in Hydraulic company,
starts in managing in Midvale Steel Company
-After world war industrial boom.
-Success in raising output at Midvale Steel:
Consultant
-His Scientific Management method brought
enemy as well as supporter.
-Fired and retired. Did not work anymore.
Died 1915

THE FATHER OF SCIENTIFIC MANAGEMENT

[S ]ITUATION AT THE TIME

C a p ita lism is g ro w in g …
C o m p e titio n risin g …
Fa cto rie s g ro w in g …

A new spectrum of
management
challenges emerged

Taylor are concern of the problems in factories in 19th



century::-
• carelessness,
• safety,
• inefficiencies,
• soldiering (worker foot dragging) on the job
 [S]OLDIERING

SOLDIERING…
Why workers not performing:-
1. The belief that increased output would lead to
less workers.
2. Inefficiencies within the management control
system such as poorly designed incentive schemes
and hourly pay rates not linked to productivity.
3. Poor design of the performance of the work by
rule-of-thumb

To Taylor, workers are not efficient unless they

do a ‘ fair day’s work’ - maximum output the
worker capable to do.
THE FATHER OF SCIENTIFIC MANAGEMENT
From his observations, Taylor made three key assumptions
about human behaviour at work:
(1) Man is a rational economic animal concerned with
maximising his economic gain;
(2) People respond as individuals, not as groups
(3) People can be treated in a standardized fashion, like
machines

Taylor had a simple view about what motivated people at

work - money. He felt that workers should get a fair day's
pay for a fair day's work, and that pay should be linked
to the amount produced (e.g. piece-rates).

Workers who did not deliver a fair day's work would be

paid less (or nothing). Workers who did more than a fair
day's work (e.g. exceeded the target) would be paid more.
[P]RINCIPLE/IDEAS

Taylor’s main ideas:-

1. Separation of planning and Doing

2. Manager to plan in advance
3. Manager to select and train the worker
4. Time study
5. Different wage plan (piece rate system/tim
rate)
6. Functional foremanship and division
7. Standardization of tools and equipment
Published the Principle of Scientific
Management in 1911

T H E FA T H E R O F S C IE N T IFIC
M A N AG EM EN T
[P]RINCIPLE/IDEAS
Right man for the right job

To measure work and

assign portion of work
to the people best
selected and trained
to perform the work.

How can we find right person..?

The most obvious weakness in Taylor's

approach is that it ignores the many
differences between people. There is
no guarantee that a "best way" will
suit everyone.
FREDERICK TAYLOR THE FATHER OF SCIENTIFIC MANAGEMENT
[P]RINCIPLE/IDEAS

Taylor focus not on the top

management but more on the
floor or the plant management

1.Manager to plan in
advance
2.Manager to select and
train the worker

At the time, the divide between

managements and workers were huge, and
this caused many problems.. Such as
exploitations, antagonism etc.

FREDERICK TAYLOR THE FATHER OF SCIENTIFIC MANAGEMENT

[P]RINCIPLE/IDEAS
Time motion studies

Cut down task into small simple

task
Saw the need for systematic
management to analyze the
work
Is there only one way of
performing the ‘best ‘ work? How
about differences between peoples
and abilities?
FREDERICK TAYLOR THE FATHER OF SCIENTIFIC MANAGEMENT
[P]RINCIPLE/IDEAS

Workers need material incentives to

work harder… MONEY

Taylor advocates for permanent

increase of wages by employer.
(cost covered by increased in
output)

Much to his dismay,Wages were

cut / slashed by the employer when
new increase of output happens, so
wage returns to normal
Secondly, whilst money is an important
motivation at work for many people, it
isn't for everyone. Taylor overlooked
the fact that people work for reasons
other than financial reward.

FREDERICK TAYLOR THE FATHER OF SCIENTIFIC MANAGEMENT

[E]FFECTS OF TAYLOR’S IDEALOGIES
1. The implications of Taylor's theory for managing behaviour at work
were:
- The main form of motivation is high wages, linked to output
- A manager's job is to tell employees what to do
-A worker's job is to do what they are told and get paid accordingly
-
2.The Frederick W. Taylor cooperators were formed to protect his
scientific
management movement into the future.

3. Frederick W. Taylor create ‘Education and The Cult of Efficiency’

subject at
school in America.

4. Many later followers used time-study that has been develop by him
as a
means to further exploit and speed up work.

5. Brought many workers more hardship than gain and a distrust of

managers.

6. Managers at the Franklin Motor Company using scientific management

principles to increase the productivity.

7. Increased productivity and workers earnings at the same time they

reduced
[T]HANK YOU…
NEXT TIME YOU SEE ANOTHER ONE RINGGIT COIN….

REMEMBER… FREDERICK TAYLOR.. AND..

… US !